Kevin Walmsley on his site 'Inside China Business' said that the USA is using the same system that it employed all along, avoiding the challenge from China and others, just by banning where it could not compete or enacting laws to punish them like against Toshiba of Japan and Alstom of France. How could such a country ever hope to progress under such fear of competing.
The USA banned Huawei, being unable to compete against Huawei in the telecommunication sector and had a horrid time trying to develop 5G. Understand the USA is leapfrogging the competition by jumping into 7G if I am not mistaken. Trying to move from 4G to 5G is already a difficult hurdle for it to accomplish and yet trying to scare Huawei with its 7G bullshitting?
The USA is trying to prevent Chinese EVs entering the USA market. The USA automakers cannot build cars for under US$50,000. China can build them for US$15,000 or even less. The USA tried to stop Chinese automakers from taking over the USA market, using tariffs. The USA knows it cannot produce cheap cars like China, with wage cost, raw material cost and energy cost way above those in China. Moreover, the USA knows it is lagging behind EV technology and have to depend on Chinese batteries for those EVs. And yet the USA is gloating about luring manufacturing back without considering how those manufacturing entities are going to compete outside the USA.
The USA now finds itself competing against its peers in the AI industry, not as an outright leader. USA investors have poured in hundreds of billions into AI research and development, all to be blindsided by a two-year old upstart called DeepSeek. The biggest shock of all must be DeepSeek making it free to use of its app that terrified USA developers like OpenAI, Microsoft and Amazon among others. Users of the systems developed by the latter three companies have to pay a fee monthly, and DeepSeek is taking away their breakfast, lunch and dinner by throwing free meals to those users. This will render all the investments that they threw in into a wasted effort and they will not tolerate that lying down. And so, they are calling the USA administration to enact legislation to ban DeepSeek in the USA. Already, some doggies are jumping the gun by moving against DeepSeek. So, instead of taking up the challenge, banning is the template of the USA where it cannot compete. How can there be real innovation in the face of such behavior, burying heads in the sand?
Anonymous
1 comment:
As more Chinese AI starts to corner the market, Trump will shout 'Ban baby ban,' LOL. When banning is the template and innovation goes out the window, the USA will eventually need tons of 'band-aids' to prevent competition from cannibalizing their massive AI investments and all the outfits.
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